CRISIL launches 11 debt indices

Sucess Dialog

This is added to your favourites.

Warning Dialog

This is already added to your favourites.

sorry something went wrong.

CRISIL Research has launched 11 new debt indices and also announced a change in nomenclature of an existing index in line with the new norms issued by the Securities and Exchange Board of India (SEBI) for classification of mutual funds (MFs).

Says Nagarajan Narasimhan, Senior Director, CRISIL Research: “With SEBI delineating different categories of schemes as per eligible securities, asset classes, maturity profiles and nomenclature, the mutual fund Industry is undergoing transition. With this launch, we are at 62 indices, and perfectly aligned to the benchmarking requirements of MFs given the change in SEBI guidelines.”

CRISIL Long Term Debt Index

Corporate Bond Fund

CRISIL Short Term Corporate Bond Index

CRISIL Medium Term Corporate Bond Index

CRISIL Long Term Corporate Bond Index

CRISIL Corporate Bond Composite Index

Credit Risk Fund

CRISIL Credit Risk Index

The change of nomenclature has been done for the CRISIL Ultra Short Term Debt Index, which will now be called the CRISIL Low Duration Debt Index. The index corresponds to the ‘Low duration’ bucket.

Jiju Vidyadharan, Senior Director, CRISIL Research, says, “The indices will help in smooth transition by serving as the right tool to emulate the risk-return profile and continue to represent more than 95% of the market. Our long standing experience in fixed income markets and relevant valuation practices, will ensure that we are able to adapt our indices to the changing market dynamics.”

With this, CRISIL Research offers a composite index for each duration and credit bucket in the debt sub-categories prescribed by SEBI. Besides the twelve indices detailed above, the existing three – CRISIL Liquid Fund Index, CRISIL Short Term Bond Fund Index and the CRISIL Composite Bond Fund Index – represent the liquid fund, short duration fund and dynamic bond categories, respectively.

All the indices in duration categories have a long-term average Macaulay duration closer to the median of the range mandated by SEBI. Besides, the asset allocation of the sub-indices factors in the issuance and mutual fund holdings pattern, and most of the indices have a long history, dating back to 2002.